Vancouver, British Columbia (September 30, 2010) â€” New Pacific Metals Corp. (TSXV: “NUX.V”) (“New Pacific”), announces that, pursuant to its recently expired take-over bid (the “Share Offer”) for all of the outstanding common shares (“Tagish Shares”) and the offer to purchase all of the secured debt (the “Secured Debt Offer”) and the unsecured debt (the “Unsecured Debt Offer”) of Tagish Lake Gold Corp. (“Tagish Lake”), New Pacific, in total, took up (or already owned) 114,544,229 Tagish Shares, representing approximately 80.1% of the issued and outstanding Tagish Shares (on a non-diluted basis).
New Pacific has issued an aggregate of approximately 15,328,600 New Pacific shares to the former holders of Tagish Shares who tendered to the Share Offer and elected to receive all or part of the consideration in common shares of New Pacific (“New Pacific Shares”). Today, New Pacific effected the cancellation of 1,959,100 New Pacific Shares which were acquired by it when its wholly-owned subsidiary tendered its Tagish Shares for New Pacific Shares resulting in New Pacificâ€™s total shares outstanding being 45,327,288 shares, of which approximately 29.5% are held by former Tagish Lake shareholders.
On September 28, 2010, New Pacific paid an aggregate of $330,768.88 in secured debt of Tagish Lake that was tendered pursuant to the Secured Debt Offer. New Pacific did not pay for any unsecured debt of Tagish Lake pursuant to the Unsecured Debt Offer as the minimum tender condition of the Unsecured Debt Offer (at least 50% of the unsecured creditors of Tagish Lake holding unsecured debt representing in aggregate not less than 66⅔% of the unsecured debt then outstanding) was not met.
New Pacific has requested that the current Tagish Lake board of directors resign, with the exception of John Resing, and that New Pacific nominees be appointed. Once New Pacific nominees are appointed, the board will proceed to set dates for a Tagish Lake shareholdersâ€™ meeting and make plans that would seek to remove Tagish Lake from CCAA protection.
About New Pacific Metals
New Pacific is engaged in the exploration and development of mineral resources and gold-poly-metallic projects in China and other jurisdictions. New Pacific has extensive experience in implementing high grade resource development projects. For more information about New Pacific, visit the company’s website at www.newpacificmetals.com.
Forward Looking Information
This news release may contain forward looking statements, being statements which are not historical facts, including, without limitation, discussion of future plans and objectives. There can be no assurance that such statements will prove accurate. Such statements are necessarily based on a number of estimates and assumptions that are subject to numerous risks and uncertainties that could cause actual results and future events to differ materially from those anticipated or projected. New Pacific Metals disclaims any intention or obligations to revise or update such statements. The following factors, among others, could cause actual results or developments to differ materially from the results or developments expressed or implied by forward looking statements; New Pacific may not succeed in acquiring additional Tagish Shares; New Pacific may not be successful in assisting Tagish Lake to obtain, and Tagish Lake may not obtain, the regulatory and other approvals and financing required to develop the Skukum mineral district; Tagish Lake may not be successful in developing the Skukum mineral district.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the release.